Contract Letters

Contract Proposal Rejection Letter


Danny Boyle

Marketing Manager

Raw Materials Limited

67 West Side Road

Sin City, Las Vegas 7890

Dated: 1st of August 2012

Subject: Letter for rejection of contract proposal

Respected Mr. Boyle,

This is in regards to the contract proposal sent by your organization.  This is to bring to your notice that we have decided to reject the contract proposal.

You had mentioned in the proposal that you would be supplying raw materials to us in order to manufacture readymade cotton garments. You had also proposed a two year contract in which you had mentioned you would be supplying a minimum quantity of one ton of raw materials every three months. You have given a quotation of $50000 for one ton of order which we have to pay in advance.  We would like to inform you that we do not require such huge quantity of raw materials for manufacturing our products. We have also checked the market price of all the available suppliers in the market. We find the quotation given by you is much higher that the market price and we don’t have such budget.

I hope you understand and feel that the rejection is justified.


Len Kane

Purchase manager

Good Garments Limited

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